On 31^st March 2022, KEPSA CEO Ms. Carole Kariuki hosted the Japanese Ambassador to Kenya H.E Okaniwa Ken at KEPSA offices where they discussed trade and investment opportunities between the two countries.

Ms. Kariuki apprised the Ambassador of KEPSA’s focus in; policy and advocacy to improve the business environment, social-economic development embracing Sustainability and the concept of People, Planet and Profit and KEPSA’s contribution to the ease of doing business.  She further outlined KEPSA’s work in supporting SMEs to scale up by highlighting programs including the COVID-19 Recovery and Resilience Program, KEPSA revolving fund, training and mentorship as part of programs that KEPSA has been rolling out to support SMEs.  She informed the Ambassador that KEPSA intends to continue playing a bigger role in helping SMEs address their challenges of access to finance, markets and information. She reckoned that opportunities for local production of goods remained high even as COVID-19 sprung sectors such as healthcare to innovation and local manufacturing, increase agricultural output, especially for export, increased use of e-commerce and technology.

Amb. Okaniwa applauded KEPSA for its role in policy and advocacy, support to businesses especially SMEs towards scale-up and for being a private sector champion.  Sharing the story of Japan, he mentioned that Japan was intentional at investing in quality education, health care, science, technology, engineering and mathematics (STEM), vocational training, access to affordable finance for businesses, infrastructure development in rail and road to improve connectivity and a savings scheme. These developments, he said, have been critical in accelerating growth and development especially because Japan is not rich in natural resources. He said a focus such as this would accelerate Kenya’s growth and development.

The Ambassador noted that Kenya remains a top investment destination by Japanese companies based on an annual questionnaire conducted by Japan External Trade Organization (JETRO).  In the last 5 years, the number of Japanese companies established in Kenya doubled to 100, part of which was attributed to the visit made by Japanese companies to Kenya during TICAD 6.  He noted the need to socialize more Japanese companies especially SMEs on the opportunities for trade and investment here in Kenya. He mentioned that there still remains a need to address a few issues such as permits and licenses for private businesses to incentivize more Japanese businesses to come to Kenya. Further, he informed Ms. Kariuki of the role his government is playing in infrastructure development and the Special Economic Zones (SEZs). SEZs present great opportunities for Kenya if fully operationalized and the SEZ Act fully implement to avoid instances of double taxation that could disincentivize interested businesses.

Amb. Okaniwa further said that a future city with modern and smart waste management systems, water resource management, efficient public transport and technology would be attractive for businesses, which they would be delighted to partner with and support in establishing. 

The two leaders expressed the need for private sector collaboration between the two countries and committed to rolling out programs to support SMEs such as; a Local-Local Connection Program, a platform for Japanese and Kenyan SMEs to exchange knowledge on investment opportunities with a view to having more Japanese SMEs investing in Kenya, encouraging more Japanese companies to join KEPSA and support efforts towards the establishment of a future city. KEPSA will work closely with JETRO and the Japan International Cooperation Agency (JICA) in the implementation of these programs. They further discussed KEPSA’s engagement at this year’s Tokyo International Conference of African Development (TICAD8) scheduled for May in Tunisia in convening Kenya’s private sector to participate and agreed to continue strengthening the relationship between the two parties through continued engagement.

Also present during the meeting were Mr. Katsumi Naomitsu the Second Secretary, Economic Affairs and Economic Cooperation Section at the Embassy of Japan in Nairobi and Mr. Victor Ogalo, KEPSA Deputy CEO in charge of Competitiveness and Operations.